BlockBeats report: On May 24, several senior officials at the U.S. Commodity Futures Trading Commission (CFTC), who had previously raised concerns about prediction market platforms, were placed on administrative leave and ultimately forced to resign. According to the report, these officials had previously expressed regulatory concerns regarding Polymarket, Crypto.com, and Gemini-affiliated entities, including whether Crypto.com treats small users fairly, whether Polymarket has adequate anti-fraud mechanisms, and whether the Gemini-affiliated entity completed required regulatory approvals.
According to sources, then-CFTC Acting Chair Caroline Pham and her senior advisors intervened to assist the companies in advancing their regulatory approvals and business requests. The report also noted that the CFTC significantly weakened its enforcement against the crypto industry during the Trump administration. Under the Biden administration, the CFTC initiated over 80 crypto enforcement actions, whereas only two have been launched so far under Trump’s term—both targeting individuals rather than large institutions.
Additionally, Caroline Pham has left the CFTC and joined MoonPay, which has a partnership with Polymarket; her former senior advisor, Brigitte Weyls, has joined Gemini Titan as General Counsel. The White House responded: “President Trump has always acted in the best interest of the American public, and there is no conflict of interest.”